Kansas Coalition of Public Retirees

Compounded Loss of Buying Power

NO COLA 1% Annual COLA 2 % Annual COLA 3% Annual COLA
Years Compounded 4% Compounded 3% Compounded 2% Compounded 1%
Inflationary Loss Inflationary Loss Inflationary Loss Inflationary Loss
$1,000.00 $1,000.00 $1,000.00 $1,000.00
40.00 30.00 20.00 10.00
1 $960.00 $970.00 $980.00 $990.00
38.40 29.10 19.60 9.90
2 921.60 940.90 960.40 980.10
36.86 28.23 19.21 9.80
3 884.74 912.67 920.99 970.30
35.39 27.38 18.42 9.70
4 849.35 885.29 902.57 960.60
33.97 26.56 18.05 9.61
5 815.38 858.73 884.52 950.99
32.62 25.76 17.69 9.51
6 783.00 832.97 866.83 941.48
31.32 24.99 17.34 9.41
7 751.68 807.98 849.49 932.07
30.07 24.24 16.98 9.32
8 721.61 783.74 832.51 922.75
28.86 23.51 16.65 9.23
9 692.75 760.23 815.86 913.52
27.71 22.81 16.32 9.14
10 $665.04 $737.42 $799.54 $904.38
Represents loss of  Represents loss of Represents loss of  Represents loss of
$334.96 per $1000 $262.58 per $1000 $200.46 per $1000 $95.62 per $1000
In 10 Years In 10 Years In 10 Years In 10 Years

The accepted 30 year average inflation rate is 4%.
                                                                                                                                                                                       
updated 03/10/2010

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